A number of U.S. utilities in current months have stated they plan to maintain coal-fired models of their technology fleets working previous their scheduled retirement dates, most often citing elevated demand for electrical energy of their service areas. Some additionally observe that the Trump administration is more likely to eschew enforcement of present air pollution requirements, and try to roll again greenhouse gasoline emissions laws put in place by the Biden administration.
The New York Occasions in a Feb. 6 report stated that about 780 particular person U.S. coal-fired models have retired since 2000. International Power Monitor, a bunch that compiles knowledge worldwide from vitality operations, stated greater than half of the nation’s remaining coal-burning models are slated to be shut down within the coming years. The Occasions, although, stated its evaluation exhibits that since 2017, nearly one-third of these models scheduled for closure have had their lifecycles prolonged, and others have had their scheduled closures canceled.
COMMENTARY
Most lately, Georgia Energy in its newest built-in useful resource plan (IRP) stated it will lengthen the working lifetime of a number of coal- and pure gas-fired models for a number of extra years. The utility cited anticipated will increase in demand for energy, together with from industrial manufacturing services. Apparently, lots of these services have acquired investments as a result of Inflation Discount Act, which the Trump administration has decried. The E2 group, which appears to be like at initiatives associated to the economic system and atmosphere, in a report final yr stated Georgia leads the U.S. within the variety of clear vitality initiatives (together with manufacturing services associated to wash vitality) initiated because the 2022 passage of the IRA.
International Power Monitor in a January 2025 evaluation of retired coal-fired energy capability by nation reported that 4,744 MW of coal-fueled technology was shuttered within the U.S. final yr. That’s the bottom determine since 2014 (4,613 MW), and comes after a five-year interval (2019-2023) during which a mean of almost 12,400 MW was retired yearly.
President Trump, talking by video hyperlink to the World Financial Discussion board in Davos, Switzerland, final month, stated, “Nothing can destroy coal. Not the climate, not a bomb … nothing. And now we have extra coal than anyone.”
The U.S. Power Data Administration has stated the U.S. leads the world in whole proved recoverable coal reserves, forward of Russia, Australia, China, and India. The U.S. ranks fourth in coal exports, behind Indonesia, Australia, and Russia, based on The International Financial system group.
“Utilities like Georgia Energy and Duke Power are pushing again the retirement dates of coal crops, backpedaling on earlier local weather plans as rising demand for energy continues to outpace the surprisingly sluggish rollout of cleaner choices,” Manav Mittal, an vitality analyst and controls supervisor, informed POWER. Mittal stated demand from knowledge facilities and synthetic intelligence, “together with the electrification of transportation, warmth, and manufacturing placing large strain on the facility grid.”
Mittal added that “Provide chain challenges, allowing delays, and interconnection points are forcing utilities to proceed counting on present coal crops moderately than increasing renewables and vitality storage to keep away from blackouts. Older coal crops additionally present some financial near-term financial savings as a result of they’re already paid off, avoiding the upfront capital prices related to new gasoline or renewable vitality initiatives.”
Assist for Power Infrastructure and Fossil Fuels
Newly-confirmed Power Secretary Chris Wright on Feb. 5, in an order detailing the Dept. of Power’s (DOE’s) focus beneath his management, stated the company will concentrate on bringing new technology sources on-line, not closing them down. “We should … allow and construct vitality infrastructure and take away limitations to progress, together with federal insurance policies that make it too straightforward to cease initiatives and much too tough to finish initiatives,” Wright stated. “Web-zero insurance policies elevate vitality prices for American households and companies, threaten the reliability of our vitality system, and undermine our vitality and nationwide safety. They’ve additionally achieved treasured little in decreasing international greenhouse gasoline emissions.”
Wednesday’s order stated the DOE as a part of its analysis and growth packages will concentrate on “inexpensive, dependable, and safe vitality applied sciences,” similar to fossil fuels, superior nuclear, geothermal and hydropower.
Evan Caron, a longtime vitality and commodities professional, and co-founder and CIO at Montauk Local weather, informed POWER: “The resurgence of American coal crops displays a practical response to surging energy calls for from the brand new electron economic system. When Georgia Energy and Duke Power introduced extensions of their coal operations, they weren’t simply shopping for time … they have been acknowledging a elementary shift in our vitality panorama.
“The AI [artificial intelligence] revolution and manufacturing reshoring are creating unprecedented electrical energy calls for. A single AI knowledge heart can require over 1 GW of energy—equal to a big coal or nuclear plant. These services can’t threat intermittency or weather-dependent sources for his or her 24/7 operations.”
Caron, whose firm is an funding agency “devoted to constructing and funding know-how firms on the forefront of local weather, infrastructure, and the vitality transition,” added, “The mathematics is compelling: Whereas coal faces environmental pressures, its capacity to supply dependable, scalable baseload energy at a identified price is proving important for America’s industrial renaissance. Pure gasoline value volatility and transmission constraints for renewables make present coal infrastructure more and more priceless. The crops are paid for, the gas is home, and the reliability is confirmed.
“Opposite to earlier predictions, the AI increase may very well lengthen coal’s function within the vitality combine. The sheer scale of energy wanted for computation and superior manufacturing requires all obtainable technology sources,” stated Caron. “Utilities are recognizing that sustaining present coal capability is commonly extra sensible than constructing fully new infrastructure.”
Caron famous that conserving coal-fired crops on-line “isn’t nearly conserving the lights on—it’s about powering America’s technological and manufacturing competitiveness. As reshoring accelerates and AI deployments broaden, the premium on dependable baseload energy will probably additional justify coal operations, particularly in areas with sturdy industrial progress. The electron economic system wants electrons, and coal crops ship them constantly.”
Mittal stated persevering with to function older coal-fired models does include threat. He informed POWER, “Stricter EPA laws on both emissions or coal ash administration might pressure pricey upgrades. In the meantime, renewables and storage prices are falling precipitously, threatening stranded property as company and shopper desire shifts irreversibly towards clear vitality. This all illustrates a extra basic stress: Electrification is vital for any hope of assembly carbon targets, however utilities must sq. these objectives with the here-and-now wants of reliability—an already thorny downside with which AI demand can solely additional complicate.”
Extra Delayed Retirements
Different energy turbines which have postponed the closure of coal-fired crops embody PacifiCorp. That group’s newest IRP stated the utility may very well be burning coal till not less than 2045. The IRP, which was revealed on Dec. 31 of final yr, famous the potential for co-firing coal with different fuels, or retrofitting coal crops with carbon seize. It additionally famous that some crops probably wouldn’t retire for not less than one other 20 years. That comes after Rocky Mountain Energy, the PacifiCorp division serving Idaho, Utah, and Wyoming, in April of final yr stated it anticipated to retire the Hunter and Huntington coal-fired crops in Utah in 2036 and 2042, respectively. These retirements now may very well be pushed to later years.
Rocky Mountain Energy additionally stated it should lengthen the lifetime of the utility’s 4 coal-fired energy stations in Wyoming, residence to the Powder River Basin, an space that’s among the many largest coal-producing areas within the U.S. Rick Kaysen, a Wyoming lobbyist for the utility, at the moment stated the transfer was made as a result of the facility market had modified because the utility’s earlier IRP was revealed in 2023. The utility will now preserve three models on the Dave Johnston plant working, together with the Jim Bridger Energy Plant, the Naughton Energy Plant, and the Wyodak Energy Plant. The crops, although now not scheduled for retirement, may very well be transformed to burn a distinct gas within the coming years, most certainly pure gasoline.
Duke Power additionally backed away from its plan to shut all its coal-fired models by 2035. The utility final fall stated it will delay the retirement of its Gibson coal plant in Indiana by three years. The utility stated two models on the station could be transformed to burn each pure gasoline and coal, which might enable the plant to burn coal till 2038.
The house owners of the Columbia Power Middle in Wisconsin late final yr stated they’d delay that coal-fired energy plant’s retirement to the top of 2029. The plant had been scheduled to shut final yr.
The Query of Economics
Power Innovation, a coverage evaluation and analysis group, in a 2023 report stated its evaluation discovered that 99% of present U.S. coal-fired energy crops price extra to function than if their technology was changed by photo voltaic, wind, and vitality storage. The group wrote, “Transitioning to wash vitality sources would save sufficient to finance almost 150 gigawatts of four-hour battery storage, and would generate $589 billion in new funding throughout the U.S.”
Even with coal-fired models remaining in operation longer than anticipated, Analysis from Asset Influence, a collection of GRESB merchandise supporting the monetary sector and centered on local weather, exhibits that among the many high 10 teams burning coal within the U.S. (which incorporates the federal authorities), reliance on coal will proceed to drop in these firms’ vitality combine. The group notes that “All the highest 10 largest final house owners are shrinking their absolute CO2 [carbon dioxide] emissions between 2024 to 2030. Nonetheless, the extent of decline, its pace and timing varies between firms relying on their technique.
“For instance, though Calpine Corp. and Dominion Power solely cut back their emissions barely, the declines are easy and linear, which avoids sudden shocks. All however two of the highest 10 firms are forecast to see their capability decline over the subsequent few years. Firms with the steepest declines in technology [American Electric Power and Xcel Energy] align with earlier noticed tendencies of speedy emissions discount. Firms with steady or rising technology [for example, NextEra Energy] lower their coal vitality and shift to renewables.”
Trump’s actions, in the meantime, might have an effect past simply extending the lifetime of coal-fired energy crops. Officers in West Virginia are involved in regards to the president’s tariffs, notably a commerce warfare with China, which put a further 15% tariff on imports of coal from the U.S. in response to Trump’s tariffs on items from that nation. West Virginia exports about 6 million tons of coal to China yearly, or about half of all U.S. coal exports to that nation.
Chris Hamilton, president of the West Virginia Coal Affiliation, informed native media the tariffs “might have a dramatic affect … they may evolve to the purpose the place even furloughs of mining operations are thought of.” Hamilton famous a number of different international locations, together with Indonesia, Australia, and South Africa, might substitute the coal from West Virginia.
—Darrell Proctor is a senior editor for POWER.
